What is Keeping CFOs Up at Night?
If you are running a company, you may be experiencing a lot of uneasiness. What are the thoughts or issues chief financial officers (CFOs) are facing today?
Category: Tax planning
ERC IRS Scam Alert
The IRS and tax professionals continue to see aggressive broadcast advertising, direct mail solicitations, and online promotions involving the ERC. While the credit is real, aggressive promoters are misrepresenting and exaggerating who can qualify for the credits.
Fake ERC Refunds
The IRS warns about Employee Retention Credit claims to con ineligible people to claim the ERC credit. Some of these offers collect your personally identifiable information in exchange for false promises.
Arizona Tax Changes and Filing Due Date
Taxpayers have until Tuesday, April 18, 2023, to file their 2022 tax return since April 15, 2023 falls on a federal holiday. If filing an extension, the extended due date to file the income tax return is October 16, 2023 because October 15, 2023 falls on a Sunday.
Home Sellers’ Profit Exclusions Are Not One-Time Opportunities
Many homeowners sell their houses at a profit, which raises questions about taxation. Fortunately, the IRS gives breaks on these profits. Learn about the details that can save you a lot of money.
Electric Vehicle Tax Credit
If you are interested in claiming the EV tax credit for purchasing a new electric vehicle after August 16, 2022, a tax credit is generally available only for qualifying electric vehicles where final assembly occurred in North America. A transition rule applies for electric vehicles purchased before August 16, 2022.
Keys to a Successful M&A
Selling or acquiring a business is a new experience for most business owners. One key to a successful sale or purchase is using a CPA well-versed in current tax regulations and laws.
Probate and Adding Children to Bank Accounts and Deed
Some people believe an easy way to avoid probate is to add your children to your bank accounts and deed. This strategy may not work as planned.
FATCA Foreign Account Tax Compliance Act
The Foreign Account Tax Compliance Act (FATCA) requires that U.S. individuals who hold foreign financial assets must report those assets to the IRS. What are your responsibilities under FATCA rules?
Arizona Small Business Income Election
Arizona small businesses may elect to file a separate small business income tax return to report their share of Arizona small business gross income. A taxpayer makes the small business income tax election by timely filing a Small Business Income Tax return along with their timely filed individual income tax form.
ADOR Guidance Proposition 208 Ruling
ADOR issued guidance for taxpayers who are affected by the recent Maricopa County Superior Court ruling striking down the surcharge imposed by Proposition 208. Taxpayers who have already filed do not need to amend their tax returns.
Common Tax Myths and Facts
What are some common tax myths and facts about filing taxes? If you file a tax extension, do you still need to pay taxes owed? Are minor children required to pay taxes on income?
What Exactly Is a Tax Year?
Tax years are based on annual accounting periods where you keep records and report income and expenses. A tax year may not be a calendar year. Discover the annual accounting periods you may or may not adopt.
Difference Between Credits and Deductions
Many people believe tax deductions and credits are the same. Tax deductions reduce your taxable income, but tax credits reduce your tax bill dollar for dollar. Knowing how they work can help you understand your tax situation.
January 31 Preparing for Business Tax Filings
January 31 is a significant date for businesses to perform certain tasks and start preparing for their tax filings. Businesses should keep in mind that state taxing authorities have their own set of due dates. It is never too early to work with your accounting and payroll staff to make sure your end-of-year reporting is accurate and timely.
Arizona Small Business Income (SBI) Tax
Senate Bill 1783 allows individual taxpayers to elect to have their Arizona small business adjusted gross income removed from their regular individual income tax return and taxed on a separate Arizona small business income tax return. For taxable years beginning from and after December 31, 2020, a small business taxpayer may elect to file a return for the taxable year with the Arizona Department of Revenue (ADOR) to report that small business taxpayer’s share of Arizona small business gross income.
2022 Arizona and Federal Tax Filing Deadlines
Every year, changes are made to Arizona’s tax code. Since April 15 2022 falls on a federal holiday, taxpayers have until Monday, April 18, 2022, to file their 2021 tax return. If filing an extension, the extended due date to file the income tax return is October 15, 2022. However, because October 15, 2022 falls on a Saturday, taxpayers have until Monday, October 17, 2022 to timely file their 2021 tax return.
Employee Retention Credit (ERC) IRS Guidance
The Infrastructure Investment and Jobs Act amended the law so that the Employee Retention Credit applies only to wages paid before October 1, 2021, in some cases. Recently, the IRS issued new guidance on how to manage this change.
Individual and Business Tax Checklist
As 2021 comes to a close, it is a good time to create a tax checklist for items needed to file individual and business taxes.
2021 Year-End Tax Planning Tips
The end of the year always brings possible last-minute tax changes, which is especially true for 2021. New legislation may mean major changes starting in 2022, but other proposed bills, such as new capital gains and qualified dividend tax rates, may take effect retroactively.
Arizona Tax Credits for Qualifying Charitable Organizations
Arizona offers many opportunities to claim tax credits for Qualifying Charitable Organizations, including Foster Care tax credits on Arizona personal income tax. Also, there are credits for donating to public schools and Certified School Tuition Organizations.
Taxpayer Reminder Limited-Time Donation Rules
Special rules allow limited charitable deductions even for taxpayers who do not itemize. Also, there are other donation changes for individuals and businesses. Learn how to take advantage of these opportunities now.
Remote and Hybrid Employees | State and Local Tax Considerations
With remote and hybrid work arrangements, employers should be very deliberate when communicating and executing policies relating to an employee’s work location. Individual taxpayers need to be familiar with tax laws in their resident state and businesses should be aware of tax laws in all states they operate.
Benefits of 529 Plans
A 529 savings plan can do more than help you pay for college. Now is the best time to find out about their flexibility. Take advantage of the benefits of a 529 plan in a pandemic-affected economy.
Estate Planning for the High-Net-Worth
President Biden’s proposed infrastructure plan would end the step-up in basis taxpayers often use to minimize tax on inherited wealth. Since assets like family businesses, homes, stocks, and art generally appreciate over time, eliminating the step-up in basis effectively raises the amount of tax on these assets.
2021 Child Tax Credit and Advance Child Tax Credit Payments
For 2021, families will begin receiving early payments from the IRS of 50 percent of the estimated amount of the Child Tax Credit. If the IRS processed your 2020 tax return or 2019 tax return, these automatic monthly payments will begin on July 15 through December 15, 2021, based on the information contained in that return.
Future of Taxes and Multinational Corporations
Countries around the globe are trying to stem the “rush to the bottom,” which has multinational companies moving their corporate headquarters to lower their tax bills. According to the International Monetary Fund, the result of this tax strategy is a loss of worldwide government revenues estimated between $500 and $600 billion annually.
401(k) Plans | Know the Rules
The benefits of retirement programs, for both companies and employees, can be substantial, but the rules are complicated. You need to figure out how to help your employees while being compliant.
IRS Issues Additional Guidance on Food Deduction
The IRS issued additional guidance under the Taxpayer Certainty and Disaster Relief Act of 2020 allowing businesses a 100% deduction for food or beverages from restaurants. Earlier in 2021, legislation increased the 50% deduction to 100%.
IRS Extends 2020 IRA and HSA Contributions to May 17
The IRS announced that individuals have until May 17, 2021 to meet certain deadlines that would normally fall on April 15, 2021. Estimated tax payments are still due on April 15, 2021.
IRS Extends 2020 Tax Deadline for Individuals
On March 17, 2021, the Treasury Department and IRS announced the federal income tax filing due date for individuals for the 2020 tax year will be automatically extended from April 15, 2021 to May 17, 2021. This extension does not apply to estimated tax payments that are due on April 15, 2021. As of today, tax returns for corporations, trusts, and Arizona state returns are due on April 15, 2021.
Foreign Earned Income and U.S. Tax Laws
If you are a U.S. citizen or resident alien living in a foreign country, you are still subject to the same U.S. income tax laws that you would be if you lived in the United States.
IRS Update: American Rescue Plan Act – Relief Bill
The recently passed American Rescue Plan Act of 2021 is full of provisions and the IRS has started to issue guidance on key aspects.
Mergers and Acquisitions Tax Planning
The Tax Cuts and Jobs Act (TCJA), passed in late 2017, changed many facets of tax planning, including mergers and acquisitions (M&A). TCJA created a variety of opportunities for mergers and acquisitions and any business considering a future M&A should be aware of the changes.
2020 Business Tax Deductions
It has been a challenging year, but one thing that has not changed is taxes. Fortunately, Arizona businesses can take advantage of certain tax deductions.
FATCA Basics and Form 8938
Americans with certain foreign financial assets have special tax reporting responsibilities. The Foreign Account Tax Compliance Act (FATCA) requires foreign financial institutions and certain other nonfinancial foreign entities report on the foreign assets held by their U.S. account holders or be subject to withholding on relevant payments.
2021 Key Adjustments | ACA | HSA | Inflation Adjustments
After a year of turmoil and surprises, what will 2021 bring? One certainty is that the federal government is changing a variety of numbers affecting the finances of businesses and individuals.
Section 179 Can Help Construction Companies
Construction companies have an opportunity to save on taxes through Section 179. The deduction can help with the rising expense of labor in light of the skilled worker shortage and contribute to training employees.